Reliance Money to launch Shariah-compliant investment scheme

1 May, 2008, 1642 hrs IST, PTI

NEW DELHI: Reliance Money today joined hands with Parsoli Corp to launch the country's first Shariah- compliant Portfolio Management Scheme for investors in India and West Asia seeking to invest as per the Shariah Laws.

The brokerage and financial products distribution arm of Anil Ambani group, Reliance Money would offer this PMS for as low as Rs 5 lakh, the company said in a statement.

Reliance Money plans to market these schemes extensively in India and West Asian Countries.Terming it as first-of-its-kind tie up, Reliance Money said the schemes would be launched in partnership with Parsoli Corp, which has been recently awarded as the 'Best Islamic Brokerage Firm' in the world for 2007.

The tie-up was announced by Reliance Money CEO Sudip Bandyopadhyay and Parsoli Managing Director and CEO Zafar Sareshwala, it added. "A significant part of India's population has not been offered appropriate financial products in compliance with the relevant religious sentiments. Shariah-compliant PMS, proposed by Reliance Money with Parsoli Corp, would enable us to tap this sector and reach out to a large section of such investors," Bandyopadhyay said.

As per the understanding, Parsoli would work with Reliance Money to ensure compliance with Shariah Laws for the relevant schemes being launched by Reliance firm. Parsoli would also market other financial products and services being introduced by Reliance Money from time-to-time.

"Currently we offer PMS for as low as Rs 5 lakh with an aggressive and competitive fee structure. We do not charge any fee for returns up to 8 per cent, charge 10 per cent fee for returns up to 20 per cent and charge 20 per cent fee for over 20 per cent returns. We would replicate the same model for the Shariah Compliant Schemes as well," Bandyopadhyay added.